greedcanbgood

On Bank Failure Friday (Nine Plus CIT)

Though it was 9 seperate charters, it really was one holding company which I think is noteworthy given that most of the headlines say something to the effect of, "Nine More Banks Fail". I grow tired of the "too big to fail mantra". At least USB has weathered this storm well due to conservative, prudent strategies.

Unsustainability, High Beta, and Liquidity Risk Pervade Capital Markets

Your analysis is pretty good. Watch for the commercial banks to report good, even outstanding, Q2 earnings primarily due to mortgage volume. The bottom falls out in Q3 when mortgage volume has waned, the consumer "hunker-down" gets even more serious (e.g. consumer spending) and unemployment hits existing mortgages harder.